Gang pad sale talks under way

A Former gang pad in Dunedin was passed in at auction yesterday, after bidding for the two-bedroom ex-state house failed to go above $74,000.

The house is up for mortgagee sale after the Mongrel Mob forfeited it to the Crown last year following a major drugs bust.

Police, on behalf of the Crown, seized the house in April under the Criminal Proceeds (Recovery) Act 2009.

It was only the second such seizure of a gang house in New Zealand at the time.

A handful of interested parties attended a public auction at Nidd Realty in Dunedin yesterday, with two bidders making offers on the property.

The bidding opened at $60,000, but the property, which has a rateable value of $195,000, was passed in at $74,000 10 minutes later.

Nidd Realty managing director Liz Nidd said the property was now under negotiation.